Question 1 of 30
A company processes payments through multiple channels, including credit cards, PayPal, and bank transfers. During a recent audit, it was discovered that the average transaction fee for credit card payments is 2.5% of the transaction amount, while PayPal charges a flat fee of $0.30 plus 2.9% of the transaction amount. Bank transfers have a nominal fee of $1.00 per transaction. If a customer makes a purchase of $200, what would be the total fees incurred for each payment method, and which method would be the most cost-effective for this transaction?
Credit Card: $5.00; PayPal: $6.10; Bank Transfer: $1.00
Credit Card: $4.50; PayPal: $5.80; Bank Transfer: $1.00
Credit Card: $5.50; PayPal: $6.20; Bank Transfer: $1.00
Credit Card: $6.00; PayPal: $6.50; Bank Transfer: $1.00

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